Four months ago I wrote a post about federal stimulus for small businesses. Here is an update.
The prior stimulus bill focused on trying to make it easier for small businesses to secure credit and added a few tax breaks. Business owners I talked to were not in a position to consider more funding for two reasons.
- They were wary about adding debt to expand given the current economy.
- They were already in such a tough position that they would not be able to qualify for more funding.
The President is now talking about a new stimulus plan with an increased focus on small businesses which is welcome news. The new stimulus would focus on jobs and has been called a “jobs bill”. A “jobs bill” could help if it has the right duration and implementation but is it too little too late?
Maybe the government will finally see that small business investment represents the most bang for the stimulus buck because of the following:
- Geography – small businesses are everywhere and can help strengthen communities everywhere.
- Industries – small businesses are in every industry so our investment in ourselves is diversified.
Too much focus has been placed on larger businesses and bailing out state governments. The returns have been questionable. Small businesses play a crucial role in our country’s success and deserve our attention.
More Reading
- Recovery.gov – Track the Money
- SBA.gov — Stimulus Package Includes Incentives For Small Business
